The European Comission has put out yet another fine to tech companies, joining some other multi-million dollar fines that have already been dolled out. The targets of the latest fine over cartel association and price manipulation is being pointed at nine Japanese capacitor manufacturers, which were found by the European Comission to have conspired towards unduly increasing capacitor pricing between the years of 1998 and 2012.

The companies named in the investigation aren't an exact match to those that were actually fined, though. Sanyo, Hitachi, Rubycon, ELNA, Tokin, NEC, Matsuo, Nichicon, Nippon Chemi-Con, Vishay Polytech, Holy Stone Holdings, and Holy Stone Enterprises, for instance, were named. However, Tokin, Elna, Rubycon, and Hitachi each received reductions in their respective fines for cooperating with the investigation. The largest single fine, totalling €97,921,000, was given to Nippon Chemi-Con. Sanyo, however, outsmarted all its competitors - the company dodged the fine altogether for bringing the matter to the attention of the Commission in the first place. This is an interesting tactic - proceeding to take part in a cartel, extract profits, and then turn over the cartel associates to regulating bodies at the price of immunity. A part of the ruling justifying the fines can be seen after the break.

"'Capacitors are an essential part of almost all electronic products, ranging from smart phones to appliances in our homes, electronic systems in our cars and wind turbines producing electricity,' explains Commissioner Margrethe Vestager of the ruling. 'The nine companies fined today colluded to maximize their profits. This may have happened not only at the expense of manufacturers but also of consumers. Our decision again makes clear that we will not tolerate anti-competitive conduct that may affect European consumers, even if anticompetitive contacts take place outside Europe.

The investigation found that the cartel participants were aware of the anti-competitive nature of their behaviour, as evidenced by their intention to conceal it. For example, messages exchanged between the companies or internal emails containing reports of the meetings included mentions such as "Discard after reading", "After reading this email, please destroy it without stowing it away", "Since the gathering should not be disclosed to the public, please be careful when handling the contents of the present report." The meetings involved discussions between senior managers and occasionally even presidents.

Under the Commission's 2006 Leniency Notice:

• Sanyo Electric Co., Ltd. and its parent Panasonic Corporation received full immunity for revealing the existence of the cartel to the Commission, thereby avoiding an aggregate fine of ca. € 32 389 000.
• Hitachi Chemical, Rubycon, Elna and NEC Tokin benefited from reductions of their fines for cooperating with the Commission's investigation. The reductions reflect the timing of their cooperation and the extent to which the evidence each company provided helped the Commission to prove the existence of the cartel.
• Rubycon was the first to submit compelling evidence that allowed the Commission to extend the duration of the infringement from June 1998 to August 2003. As a result, this period is not taken into account when setting the fine for Rubycon."